• Sales of $840 million
• Operating margin of 21.7%, adjusted operating margin¹ of 16.5%
• GAAP diluted EPS of $0.87 and adjusted diluted EPS¹ of $0.63
• Cash flow from operations of $182 million and free cash flow¹ of $126 million
• Approximately $145 million of capital returned to shareholders during the quarter through dividends and share repurchases
• Company announces renewal of Normal Course Issuer Bid to repurchase up to 5% of issued and outstanding shares
• Company lowers its FY 2023 outlook to reflect the impact of current market conditions

Montreal, Thursday, August 3, 2023 – Gildan Activewear Inc. (GIL: TSX and NYSE) today announced results for the second quarter ended July 2, 2023. 

"We are pleased with our top line performance which came in ahead of our expectations for the quarter, up against a strong comparative period” said Glenn J. Chamandy, Gildan’s President and CEO. “Further, in a challenging macro environment, we are driving market share gains given our strong competitive position and continued execution on our GSG strategy". 

During the second quarter, we generated net sales of $840 million, driven by better-than-expected sales volume in activewear which offset weaker-than-expected product mix in this category. Our operating margin came in at 21.7% and reflected a net insurance gain of $74 million, partly offset by restructuring charges of $30 million. Excluding these items, our adjusted operating margin¹ of 16.5% was slightly above our expectations. Consequently, we ended the quarter with GAAP diluted EPS of $0.87 and adjusted diluted EPS¹ of $0.63. In line with our capital allocation priorities and our commitment to return capital to shareholders, we continued to be active on our share buyback program during the quarter, repurchasing approximately 2.6 million shares at a cost of $78 million. With our current program now approaching expiry in August, our Board of Directors approved the implementation of a renewal of our normal course issuer bid (NCIB) program to repurchase up to 5% of the Company's issued and outstanding common shares over the next twelve months. The Company ended the second quarter of 2023 with net debt¹ of $1,170 million and a leverage ratio¹ of 1.8 times net debt to trailing twelve months adjusted EBITDA¹ within our targeted debt levels. 

Read the full press release by clicking here.